Editorial ranking
Best UK business loans for manufacturing
Editorial UK lender rankings from desk research, post-decline options included. FundBiz does not run a credit check. Where a lender publishes a decision or funding time, it is shown in the ranking below.
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Manufacturing business loans are often asset finance: the machine you buy is the security, through hire purchase or a lease. Allica Bank, Aldermore and Time Finance all offer this, and Aldermore and Time Finance can also release cash from equipment you already own. OakNorth lends from £1m. For stock and cash flow between orders, iwoca and Funding Circle lend. This FundBiz ranking assesses 6 UK lenders for "best uk business loans for manufacturing", weighting primarily on asset finance and refinance (35%), manufacturing sector underwriting (20%), eligibility breadth (15%) (see the full weighted criteria below).
Scores are our own desk-research assessment built from the FCA Register, Companies House filings and each lender's published product criteria, not customer reviews and not paid placement. Lenders don't pay for inclusion or rankings. If you send an enquiry, we pass it to one of the finance partners we work with, and we may be paid by the finance partners we introduce you to, by a fixed fee or commission depending on the partner and the finance arranged. It does not change what you pay.
Source: FundBiz methodology. Editorial by Best Business Loans Ltd (16833937).
Want the sector overview, cash-flow shape and typical decline reasons instead? See manufacturing business finance →
Founder & Managing Director, Muswell Rose, FundBiz
Adam is the founder and managing director of Muswell Rose and a founder of Best Business Loans Ltd, the company behind FundBiz. His background runs through commercial finance, mortgages and fintech, including as managing director of an invoice finance business. He oversees FundBiz's guides and lender reviews.
AI-assisted check
- 1. Allica Bank
SME term loan, asset finance + commercial mortgage · £25,001 to £150,000 (business loans); £25k to £2.5m (asset finance); £150k to £15m (commercial mortgages) (its own figures) · Decision by the next working day (its own aim)
Asset finance + commercial mortgage stack for owner-occupied manufacturers.
Our assessment: Eligibility breadth: strong · Decision speed: decision by the next working day, its own aim.
Read full Allica Bank review → - 2. Aldermore
Asset finance, invoice finance, commercial mortgages · Commercial real estate loans of £3m to £100m (its own figures); not published for asset or invoice finance · Not published
Asset finance from a bank: hire purchase, finance lease, operating lease, and refinance that releases cash from equipment you already own, on Aldermore's own asset finance page. It quotes rates and amounts per deal.
Our assessment: Eligibility breadth: strong · Decision speed: not published.
Read full Aldermore review → - 3. Time Finance
Asset finance, invoice finance, vehicle finance · Not published overall; secured loans of £50k to £500k (its own figures) · Not published
Asset finance by hire purchase or finance lease, with manufacturing and engineering machinery among the equipment it lists, plus refinance of assets you own, on Time Finance's own page. It does not publish rates or amounts there.
Our assessment: Eligibility breadth: strong · Decision speed: not published.
Read full Time Finance review → - 4. OakNorth
SME term loan + bridging · £1m to tens of millions (its own figure) · Funds can be with you in a matter of weeks (its own words)
Bespoke deals from £1m, including acquisition and capacity expansion.
Our assessment: Eligibility breadth: strong · Decision speed: funds can be with you in a matter of weeks, its own words.
Read full OakNorth review → -
Term loan · £10k to £750k (its own figure) · Decision in as little as 5 minutes, funds typically within 48 hours (its own figures)
Term loans for working capital alongside asset finance.
Our assessment: Eligibility breadth: top tier · Decision speed: decision in as little as 5 minutes, funds typically within 48 hours, its own figures.
Read full Funding Circle review → - 6. iwoca
Flexi-loan / line of credit · £1k to £1m (its own figure) · Many customers get an instant decision; larger loans within 24 hours (its own figures)
Flexi-loan for raw-material cashflow gaps.
Our assessment: Eligibility breadth: strong · Decision speed: many customers get an instant decision; larger loans within 24 hours, its own figures.
Read full iwoca review →
Side-by-side comparison
| Lender | Typical rate | Ticket | Decision | Best for | Source | Checked |
|---|---|---|---|---|---|---|
| Allica Bank | Business loans 9.90% to 13.75% interest; other products quoted per deal | £25,001 to £150,000 (business loans); £25k to £2.5m (asset finance); £150k to £15m (commercial mortgages) (its own figures) | Decision by the next working day (its own aim) | Established Ltd companies with three or more years of filed accounts | Lender's site | |
| Aldermore | Quoted per deal (not published) | Commercial real estate loans of £3m to £100m (its own figures); not published for asset or invoice finance | Not published | Established Ltds wanting asset finance or invoice finance from a bank | Lender's site | |
| Time Finance | Bespoke | Not published overall; secured loans of £50k to £500k (its own figures) | Not published | Mid-ticket Ltds combining asset finance, invoice finance and vehicle under one lender | Lender's site | |
| OakNorth | Bespoke | £1m to tens of millions (its own figure) | Funds can be with you in a matter of weeks (its own words) | £1m+ tickets backed by clear acquisition, growth or property story | Lender's site | |
| Funding Circle | From 6.9% per year | £10k to £750k (its own figure) | Decision in as little as 5 minutes, funds typically within 48 hours (its own figures) | Established Ltds with a trading record and clean credit | Lender's site | |
| iwoca | From 1.5% per 30 days | £1k to £1m (its own figure) | Many customers get an instant decision; larger loans within 24 hours (its own figures) | Working capital you can draw down as you need it | Lender's site |
Source links go to the lender's own site, or to the page the figures on that row come from. Checked is the date we last checked them. Figures change, so confirm with the lender before you rely on one.
What is the best business loan for a UK manufacturer?
For plant, machinery and vehicles, asset finance from Allica Bank, Aldermore or Time Finance. For owner-occupied facilities, an Allica or Shawbrook commercial mortgage. For working capital across order cycles, an iwoca flexi-loan or Funding Circle term loan.
Can I get a loan for manufacturing equipment?
Yes, and the usual route is asset finance rather than an ordinary loan. With hire purchase you pay monthly and Aldermore says that at the end "you can choose to take ownership of the asset for a nominal fee". With a lease you rent the machine and the lender keeps it.
Allica Bank lends £25,000 to £2.5m in asset finance and lists manufacturing equipment and plant and machinery among the assets it funds. If you already own the equipment, refinance can release cash from it: Aldermore and Time Finance both offer this.
See also: plant and equipment finance, releasing cash from equipment you already own.
Can UK manufacturers refinance existing equipment to release cash?
Yes, via sale and leaseback. Lender buys the existing asset from you, leases it back. Frees up balance-sheet cash. Our asset-refinance guide names Time Finance and Aldermore for this, and Haydock Finance runs a refinance product for owned hard assets.
What turnover does a UK manufacturer need for £500k+ funding?
Lenders set their own turnover tests, and larger unsecured loans usually need several years of filed accounts. For asset-backed deals (asset finance, commercial mortgage), the asset carries more weight than turnover. OakNorth handles bespoke deals from £1m.
Are there grants for UK manufacturers in 2026?
Yes. Innovate UK funds R&D and process innovation. Made Smarter offers digital adoption grants for SME manufacturers in eligible regions. Local growth funds support capacity expansion in target sectors. Grants typically require matched private funding.
How we ranked these
We weight asset finance and refinance (35%), manufacturing sector underwriting (20%), eligibility breadth (15%), decision speed (15%), post-decline acceptance (15%). Rankings reflect our published editorial methodology, not any commercial arrangement. The full basis is in our methodology, linked below.
Methodology weights
Weights specific to "Best UK business loans for manufacturing":
- Asset finance and refinance35%
- Manufacturing sector underwriting20%
- Eligibility breadth15%
- Decision speed15%
- Post-decline acceptance15%
Read the full methodology for how we score and rank the lenders we review.
Also considered
- Specialist manufacturing-equipment lenders
Not for
Sole-trade manufacturers without filed accounts; new-build manufacturers under 18 months.
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